85R5414 JSC-F
	By: Zaffirini	S.B. No. 1496

	A BILL TO BE ENTITLED
	AN ACT
	relating to certain workers' compensation reporting requirements.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 402.066(a), Labor Code, is amended to
	read as follows:
	(a)  The commissioner shall consider and recommend to the
	legislature changes to this subtitle[, including any statutory
	changes required by an evaluation conducted under Section 402.074].
	SECTION 2.  Section 406.007(a), Labor Code, is amended to
	read as follows:
	(a)  An employer who terminates workers' compensation
	insurance coverage obtained under this subtitle shall file a
	written notice with the division [by certified mail] not later than
	the 10th day after the date on which the employer notified the
	insurance carrier to terminate the coverage. The notice must
	include a statement certifying the date that notice was provided or
	will be provided to affected employees under Section 406.005.
	SECTION 3.  Section 406.008(a), Labor Code, is amended to
	read as follows:
	(a)  An insurance company that cancels a policy of workers'
	compensation insurance or that does not renew the policy by the
	anniversary date of the policy shall deliver notice of the
	cancellation or nonrenewal to the division, and by certified mail
	or in person to the employer, [and the division] not later than:
	(1)  the 30th day before the date on which the
	cancellation or nonrenewal takes effect; or
	(2)  the 10th day before the date on which the
	cancellation or nonrenewal takes effect if the insurance company
	cancels or does not renew because of:
	(A)  fraud in obtaining coverage;
	(B)  misrepresentation of the amount of payroll
	for purposes of premium calculation;
	(C)  failure to pay a premium when due;
	(D)  an increase in the hazard for which the
	employer seeks coverage that results from an act or omission of the
	employer and that would produce an increase in the rate, including
	an increase because of a failure to comply with:
	(i)  reasonable recommendations for loss
	control; or
	(ii)  recommendations designed to reduce a
	hazard under the employer's control within a reasonable period; or
	(E)  a determination made by the commissioner of
	insurance that the continuation of the policy would place the
	insurer in violation of the law or would be hazardous to the
	interest of subscribers, creditors, or the general public.
	SECTION 4.  Section 406.144(d), Labor Code, is amended to
	read as follows:
	(d)  The hiring contractor shall send a copy of an agreement
	under this section to:
	(1)  the hiring contractor's workers' compensation
	insurance carrier; and
	(2)  the division, on the division's request [on filing
	of the agreement with the division].
	SECTION 5.  Section 406.145(c), Labor Code, is amended to
	read as follows:
	(c)  The hiring contractor shall send a copy of a joint
	agreement signed under this section to:
	(1)  the hiring contractor's workers' compensation
	insurance carrier; and
	(2)  the division, on the division's request [on filing
	of the joint agreement with the division].
	SECTION 6.  Section 408.150, Labor Code, is amended to read
	as follows:
	Sec. 408.150.  VOCATIONAL REHABILITATION. (a) The division
	shall refer an employee to the Texas Workforce Commission
	[Department of Assistive and Rehabilitative Services] with a
	recommendation for appropriate services if the division determines
	that an employee could be materially assisted by vocational
	rehabilitation or training in returning to employment or returning
	to employment more nearly approximating the employee's preinjury
	employment. [The division shall also notify insurance carriers of
	the need for vocational rehabilitation or training services.] The
	insurance carrier may provide vocational rehabilitation or
	training services through a private provider of vocational
	rehabilitation services [under Section 409.012].
	(b)  An employee who refuses services or refuses to cooperate
	with services provided under this section by the Texas Workforce
	Commission [Department of Assistive and Rehabilitative Services]
	or a private provider loses entitlement to supplemental income
	benefits.
	SECTION 7.  Section 409.010, Labor Code, is amended to read
	as follows:
	Sec. 409.010.  INFORMATION PROVIDED TO EMPLOYEE OR LEGAL
	BENEFICIARY. Immediately on receiving notice of an injury or death
	from any person, the division shall send [mail] to the employee or
	legal beneficiary a clear and concise description of:
	(1)  the services provided by:
	(A)  the division; and
	(B)  the office of injured employee counsel,
	including the services of the ombudsman program;
	(2)  the division's procedures; and
	(3)  the person's rights and responsibilities under
	this subtitle.
	SECTION 8.  Section 409.011(a), Labor Code, is amended to
	read as follows:
	(a)  Immediately on receiving notice of an injury or death
	from any person, the division shall send [mail] to the employer a
	description of:
	(1)  the services provided by the division and the
	office of injured employee counsel;
	(2)  the division's procedures; and
	(3)  the employer's rights and responsibilities under
	this subtitle.
	SECTION 9.  Sections 409.012(b) and (c), Labor Code, are
	amended to read as follows:
	(b)  If the division determines that an injured employee
	would be assisted by vocational rehabilitation, the division shall
	notify:
	(1)  the injured employee in writing of the services
	and facilities available through the Texas Workforce Commission
	[Department of Assistive and Rehabilitative Services] and private
	providers of vocational rehabilitation; and
	(2)  the Texas Workforce Commission [Department of
	Assistive and Rehabilitative Services and the affected insurance
	carrier] that the injured employee has been identified as one who
	could be assisted by vocational rehabilitation.
	(c)  The division shall cooperate with the office of injured
	employee counsel, the Texas Workforce Commission [Department of
	Assistive and Rehabilitative Services], and private providers of
	vocational rehabilitation in the provision of services and
	facilities to employees by the Texas Workforce Commission
	[Department of Assistive and Rehabilitative Services].
	SECTION 10.  Section 409.013(b), Labor Code, is amended to
	read as follows:
	(b)  On receipt of a report under Section 409.005, the
	division shall:
	(1)  contact the affected employee; [by mail or by
	telephone] and
	(2)  [shall] provide the information required under
	Subsection (a) to that employee, together with any other
	information that may be prepared by the office of injured employee
	counsel or the division for public dissemination that relates to
	the employee's situation, such as information relating to back
	injuries or occupational diseases.
	SECTION 11.  The following provisions of the Labor Code are
	repealed:
	(1)  Section 402.074;
	(2)  Section 406.144(c);
	(3)  Sections 406.145(b) and (d);
	(4)  Section 408.032;
	(5)  Section 408.086; and
	(6)  Section 409.012(d).
	SECTION 12.  The change in law made by this Act applies only
	to a notice, agreement, description, or information required to be
	sent or provided on or after the effective date of this Act.
	SECTION 13.  This Act takes effect immediately if it
	receives a vote of two-thirds of all the members elected to each
	house, as provided by Section 39, Article III, Texas Constitution.
	If this Act does not receive the vote necessary for immediate
	effect, this Act takes effect September 1, 2017.